Brazil’s benchmark closed 2.4% higher at 177,548 on Wednesday, helped by strong corporate earnings, while a 25% U.S. tariff on some Brazilian products took effect with key exports exempt.
Brazil’s Ibovespa closed 2.4% higher at 177,548 on Wednesday, lifted by company results and gains in heavyweight stocks. Vale rose 4% after saying iron ore production increased 0.8% from a year earlier in the April-June quarter, marking its strongest second-quarter output since 2018. Bradesco BBI maintained its Buy rating after the miner’s sales volumes came in above expectations. WEG surged 10% after posting solid operating margins and return on invested capital in the second quarter, even as EBITDA and revenue declined from a year earlier. The company said international-market revenue rose 14.7% in U.S. dollar terms, while the appreciation of the real reduced reported revenue in local currency. Petrobras also gained 2.2% as oil prices advanced on escalating Middle East tensions. Separately, a 25% U.S. tariff on a range of Brazilian products took effect on Wednesday, although major exports including beef, coffee, rare earths, energy products, aircraft, and aircraft parts were exempt.